Simplify Business Setup in Vietnam with Our Video Guide
Many foreigners and expats in Vietnam see the country’s growing economy as a prime opportunity for entrepreneurship. When considering business structures, four main options stand out:
- Wholly Vietnamese-Owned Company: This is a common choice for foreign investors looking to enter industries restricted to Vietnamese ownership. A foreign partner can collaborate with a Vietnamese entity to establish a 100% Vietnamese-owned company while maintaining control and benefits.
- Wholly Foreign-Owned Company: Ideal for foreign business consultants and software companies, this structure allows for complete foreign ownership.
- Joint Venture: This involves at least one Vietnamese and one foreign partner. Advertising agencies and factories often adopt this structure.
- Representative Office: Designed for foreign companies needing a local presence without generating revenue in Vietnam, this option is suitable for those seeking a point of contact.
Setting Up Your Business
Navigating Vietnam’s legal landscape requires careful planning. Here’s a step-by-step guide:
- Seek Legal Advice: Consult a local lawyer to determine the most suitable business structure for your goals.
- Secure Office Space and Legal Representation: Establish a physical office and appoint a legal representative, which is mandatory for business license applications.
- Apply for a Business License: Prepare the necessary documents and meet all requirements. Expect a 15-day waiting period for Vietnamese-owned companies and a 60-day wait for foreign-owned ones.
- Operate Your Business: Once licensed, you can hire employees, enter contracts, and conduct business. Additional steps include obtaining a company stamp, registering for a tax code, setting up a company bank account, and making a public announcement. Ongoing responsibilities include tax reporting, accounting, and employee insurance.
Frequently Asked Questions
- Salary Range: Salaries vary by location, industry, and candidate qualifications. Ho Chi Minh City generally offers higher wages. English proficiency can also boost earnings. Expect manual labor workers to earn around $350 monthly, junior office staff at $350, junior developers or designers at $600-800, and middle managers or team leaders at $1,000-1,300.
- Office Rent: Rental costs in Hanoi and Ho Chi Minh City typically range from $7-15 per square meter for standard office spaces and $18-30 for premium locations. Virtual offices are available for around $50 per month.
- Minimum Company Fund: Foreign-owned companies require a minimum fund of $10,000, while there’s no specific requirement for Vietnamese-owned ones. However, the minimum fund can vary significantly depending on the industry.
Updated on 2024-09-09. Prices are for the Ho Chi Minh City area. For other cities, kindly send us a request.
| Business services |
Price |
| Wholly Vietnamese-owned company license |
from $200 |
| Wholly foreign-owned company license |
from $1,800 |
| Joint venture company license |
from $1,800 |
| Representative office license |
from $1,500 |
| Register accounting system with Tax Office, Register online account to submit tax report and pay tax, Electronic signature (1 year), Buy e-Invoice (100 invoices), Register e-invoice at Tax Office |
from $400 |
| Monthly accounting, tax, bookkeeping & HR service |
from $200 |
We offer a variety of additional services, including site selection for your headquarters, retail outlets, and manufacturing facilities. We can also assist with recruitment, sourcing contractors and suppliers, and handling administrative tasks.
Visas and Residency in Vietnam
Visas
Vietnam offers a variety of visas to accommodate different travel purposes and durations. While there are over 20 visa categories, most foreigners in Vietnam opt for one-month tourist visas, three-month business visas, or temporary residence cards.
Temporary Residence Cards (TRCs)
TRCs serve as both identification and travel documents within and outside Vietnam. Their validity ranges from one to five years, depending on factors like passport expiration, company sponsorship, work contracts, and work permits. It’s important to note that a TRC does not grant work authorization. Foreigners must have a separate work permit to be employed in Vietnam.
Permanent Residence Cards (PRCs)
PRCs are primarily intended for individuals who have significantly contributed to Vietnam’s freedom, independence, and development. The criteria for obtaining a PRC are quite stringent and likely limit its availability to most foreigners.
Visa Exemptions
Citizens of certain countries can visit Vietnam without a visa for a limited period. For example, nationals from Japan, South Korea, Sweden, Finland, Denmark, Norway, Germany, France, Spain, Italy, and the United Kingdom can stay for up to 15 days. Singaporeans, Thais, Malaysians, Laotians, and Indonesians can stay for up to 30 days.
Individuals with Vietnamese spouses, children, parents, or a history of Vietnamese citizenship may be eligible for a 5-year visa exemption. This allows for multiple 180-day stays within that period.
Frequently Asked Questions
How to Apply for a Vietnamese Visa:
Before arriving in Vietnam, you can apply for a visa on arrival letter. This letter allows you to obtain an actual visa upon arrival at a Vietnamese embassy or border checkpoint. Once your visa expires, you can often extend it without leaving the country.
Am I Eligible for a Temporary Residence Card?
You may be eligible for a TRC if you meet one of the following criteria:
- You own or co-own a limited company in Vietnam.
- You hold a Vietnamese work permit.
- You are a family member of someone with a TRC.
- You are a board member or investor in a Vietnamese joint-stock company.
- You are a foreign lawyer licensed to practice law in Vietnam.
- You are a professional, student, trainee, or expert working or studying on government-approved projects.
- You are married to a Vietnamese citizen.
Certain foreigners are exempt from the work permit requirement under specific circumstances:
